Requirements to the provider of payment services in Singaporean legislation

• Alekseenko A.P.

  А.Р. Alekseenko Vladivostok State University of Economics and Service. Vladivostok. Russia

The article discusses legislation of the Republic of Singapore regarding regulation of cryptocurrency. The author analyzes the provisions of the Law of Singapore On Payment Services, as well as the legal acts of the Monetary Authority of Singapore establishing requirements for
payment service providers in terms of licensing their activities. The regulatory legal acts of Singapore on prevention of money laundering and countering the financing of terrorism by cryptocurrency market participants are also examined in the paper. The aim of this article is
to identify the features of the legal status of cryptocurrency exchanges in Singapore in comparison with the operator of the information system in which digital financial assets are issued in Russia. An analysis of Singaporean legal acts showed that payment service providers
are allowed to apply for three types of licenses depending on the transactions they will be involved. It was revealed that holders of a license are obliged not to decrease the amount of the authorized capital for the entire duration of the license. In order to prevent money laun-
dering and countering the financing of terrorism, payment service providers are required to establish three lines of defense, which include: the use technologies that allow identifying illegal transactions of the client; monitoring of compliance of all duties; internal audit function
or external audit. The paper concludes that Singapore has created favorable conditions for the development of cryptocurrency exchanges, including registered in other countries.  
Keywords:    cryptocurrency,  token,  Singapore,  digital  financial  assets,  digital  currency,  pay-
ment services, bitcoin, digitalization, licensing, money laundering, FinTech.